If your Toastmasters club is like most, your treasurery is probably not overflowing with an abundance of cash! Listed below are three steps to assist you when setting up a club's checking account.
Please remember that every Bank, Credit Union, Savings Union may have their own specific procedures. Some Financial Institutions will offer a free checking account if you do not exceed their monthly number of transactions.
If your Toastmasters club is like most, your treasurery is probably not overflowing with an abundance of cash!
Please remember that every Bank, Credit Union, Savings Union may have there own specific procedures. Some Financial Institutions will offer a free checking account if you do not exceed their monthly number of transactions.
It does not hurt to ask! Call up the bank and ask about what types of programs they have to waive fees for non-profit organizations.
The three steps below will help you to gather the needed documentation to prove your club's non-profit status and will be used to setup a FREE checking account.
#1. Find out the club's Employer Identification Number (EIN). All clubs are required to obtain an EIN from the IRS in order to be chartered by Toastmasters International (TI). If you can't find the EIN in your club records, contact TI. The contact information for TI is:
Telephone: (949) 858-8255 From 8:00 am to 5:00 pm, pacific time, excluding holidays
You can find a list of email addresses for finance matters on the Toastmasters International website at:
http://www.toastmasters.org/artisan/contact.asp?CategoryID=12
#2. Once you receive the EIN, call the IRS at (877) 829-5500 (toll free). Request a letter confirming the club's (organization's) tax exempt status. The individual will probably offer to fax as well as mail you a copy, so have a fax number ready to give to them.
You should also contact Toastmasters International for a "Nonprofit Status Request Letter". Just telephone or email TI to process your request.
IMPORTANT:
Verify that the IRS has the current mailing address for the club.
Once you receive the letter from the IRS, make two copies - one to take to the bank and the second to keep with the club records.
#3. Take the IRS letter and funds to deposit and proceed to the Bank, Credit/Savings Union, etc. and apply for a non-profit organization checking account with no interest earned and no service charges. The bank may request a letter from the club authorizing you to set up the club, so it would probably be a good idea to have that available, too.
This letter can be simply one-page in length stating your club's name, meeting place, time, mailing address, contact information and a brief description of what Toastmasters is all about. It should be typed up on sometype of Toastmaster letterhead and be signed by your club's President and Treasurer.
You now know enough to be dangerous...good luck!
Note: This information has been adapted and modified from an original article by By Ron Neff from the District 49 Toastmasters, Aloha!